Author: Srishti Singh
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Credit Suisse vs Yes Bank: How AT1 Bond write off affected both banks
The recent merger of Credit Suisse with UBS, has eerie similarity to the Yes Bank of India. The UBS takeover of crisis-hit Credit Suisse has rendered $17 billion-worth bonds issued by Credit Suisse worthless. As part of the deal brokered by the Swiss government, it was decided that the high-risk Additional Tier 1 (AT-1) bonds issued by…
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Credit Suisse UBS Merger: Understanding the historic deal
In an effort to avoid further market-shaking turmoil in the global banking system, UBS is buying troubled rival Credit Suisse for almost $3.25 billion. Here are the key facts about the deal: $3.3B all share offer An all share offer means that the value equivalent of the agreed deal ($3.3B) in UBS shares will be come…
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How UBS-Credit Suisse Merger deal will take shape, if successful?
UBS and Credit Suisse, the two biggest banks in Switzerland, are in takeover talks, referred as “the merger of the century”. The Swiss National Bank (SNB) and Switzerland’s financial regulator reportedly believe that the acquisition of investment bank Credit Suisse by UBS, Switzerland’s largest bank, is the “only option” to prevent a “collapse in confidence”…
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Why Starbucks is failing in China?
Starbucks have just announced their China sales for the last fiscal quarter and it isn’t good news for the coffee giant. Starbucks’ comparable sales in China fell 29 percent in the last fiscal quarter, including a 42 percent decline in December. Well, here are the top reasons why Starbucks failed to dominate in China: Covid:…
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SVB Financial files for Chapter 11 Bankruptcy Protection
SVB Financial Grouphas filed for a court-supervised reorganization under Chapter 11 bankruptcy protection to seek buyers for its assets, days after its former unit Silicon Valley Bank was taken over by U.S. regulators. The move to commence bankruptcy proceedings comes as emergency measures to shore up confidence have so far failed to dispel worries about…
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OpenAI announces ChatGPT successor GPT-4
OpenAI just dropped GPT-4 and it can literally blow your mind 1. GPT-4 can pass basically every exam, with excellent scores. The Bar Exam: 90% LSAT: 88% GRE Quantitative: 80%, Verbal: 99% Its reasoning capabilities are far more advanced than ChatGPT. The truth is, GPT-4 can apply to Stanford as a student now! 2. DoNotPay…
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KPMG US auditors signed off on Silicon Valley Bank, Signature Bank
On Feb 24 KPMG signed off on the audit report for SVB Financial Group, the parent of Silicon Valley Bank. Within 2 weeks Regulators seized SVB after a surge of withdrawals threatened to leave the bank short of cash. Now the auditor faces scrutiny as it gave a clean chit within two weeks without warning…
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List of affected companies from SVB Crisis
Startup-focused lender SVB Financial Group last week became the largest bank to fail since the 2008 financial crisis, sending ripples across the globe as billions of dollars belonging to companies and investors were left stranded. The collapse also raised concerns that rising interest rates could expose vulnerabilities in the global economy as a decades-long era…
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Why Meta might end news access for Canadians?
Facebook-parent Meta Platforms Inc would end availability of news content for Canadians on its platforms if the country’s Online News Act passes in its current form. The “Online News Act,” or House of Commons bill C-18, introduced in April last year laid out rules to force platforms like Meta and Alphabet Inc.’s Google to negotiate…
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Why the Silicon Valley Bank collapsed?
California-based Silicon Valley Bank (SVB), a cornerstone of US technology and startup industry, was shut down by regulators, making it one of the largest bank failures after the 2008 financial crisis. But how? SVB’s problems were sparked by customer withdrawals that led the company to liquidate securities positions. But its values had plummeted due to the…
